Match the term with its definition.
-A legal entity formed by two or more co-owners to operate a business for profit

Question

Quizplus · Accepted Answer

Partnership is a legal entity formed by two or more co-owners to operate a business for profit.

Answer: C 
 C corporation is a legal entity formed by one or more shareholders with a state-chartered legal existence separate from its owners.

Answer: D
 Corporate charter is a legal document that establishes a corporation and specifies its purpose, governance, and stock structure.

Answer: I 
 Unlimited liability is a term used to describe the legal responsibility of each owner for all debts and damages incurred by the business.

Answer: H 
 S corporation is a legal entity that provides the limited liability of a corporation but is taxed like a partnership.

Answer: E 
 Joint and several liability is a term used to describe the legal responsibility of each partner for all debts and damages incurred by the partnership.

Answer: G 
 Professional corporation is a special type of corporation formed by professionals such as doctors, lawyers, and accountants, which provides limited liability protection for the owners.

Answer: A 
 Advisory board is a group of external individuals who provide guidance and advice to a company, but do not have legal authority or ownership in the business.

Answer: B 
 B corporation is a type of for-profit corporation that is required to meet social and environmental standards in addition to generating profit for shareholders.

Match the Term with Its Definition